Although at this point, the question is likely moot... as top prospects appear to be in the draft either way, so the waiver position is of pretty low value.
I don't think an automatic policy of 'robbing the rich to feed the poor' as a universally good thing is consistently league balancing. At some point, the pendulum swings too far. And I'm not sure that your idea (Matt) would improve competition for teams that 'lose interest'. If you increase the reward for finishing at the bottom of the league, tanking goes up. There's actually LESS incentive to do well and submit lineups in the current year. So those teams may be more involved in future years, and perhaps more likely to return the next year... but even less likely to continue participating in a bad season.
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This is definitely becoming a very interesting conversation. Pro or con, though, I'd like to see these votes start coming in - even if they're changed later. It'd be good to resolve this one way or another.

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